The Government Pension Offset is a statutory provision in United States law which affects benefits paid by the Social Security Administration. It reduces spousal Social Security retirement benefits in situations where the worker did not pay Social Security tax. (Many state and local government employees do not contribute to the Social Security system.) This is in contrast to the Windfall Elimination Provision, which reduces Social Security benefits of the worker.
Effects on benefits
Social security benefits are reduced by two-thirds of the government pension amount. Note this is not two-thirds of the social security benefit; for example, a $600 government pension spousal benefit would reduce Social Security benefits by $400, regardless of whether the spouse was entitled to $500 or $1000.